Auckland BioSciences (ASB) has bought a New South Wales-based company specialising in the production of animal serum as it looks to expand into a growing lucrative global market.
ASB produces serum from animal blood. Photo: 123RF
ASB, which also produces animal-based serum, bought CellSera for an undisclosed price but said the combined businesses were expected to generate revenue of $40 million in the current financial year.
ASB co-founder and managing director Dr John Chang said the combined businesses would continue to make products under their current brands.
The businesses would operate from three processing facilities in Australasia, one each in Auckland and Christchurch, with CellSera's sterile filtration plant in Rutherford, New South Wales.
"Our growth strategy is based on continuing to innovate in the production of high-value serum-based products and to acquire complementary organisations that will increase our scale, R&D capabilities and market access in the cell culture media market," Chang said.
"While our business is operationally complex, our proposition is relatively simple. We take animal blood, otherwise regarded as a waste product from abattoirs, and turn it into a high value export," he said, adding the global cell culture market was expected to reach US$36b by 2027.
The serum is used in scientific and medical research and for making vaccines.